LPSC Securitization for Little Gypsy Repowering Project

LPSC Press Release on Little Gypsy Bond Refinancing 9-15-11

LPSC Bond Deal Saves Entergy Customers Millions in Financing Costs/Alternative Financing Structure Saves Ratepayers Millions of Dollars versus Conventional Utility Financing Methods

Attached is a press release by the LPSC which discusses the recent sale of $207 million of ratepayer backed bonds to pay for the costs associated with the  Little Gypsy 3 Repowering Project. By virtue of the use of Act 988 passed by the Louisiana Legislature in  2010 to provide new financing methods for utility companies in instances like this, the LPSC has been able to save Entergy Louisiana ratepayers over $80 Million in capital costs versus what would have otherwise been incurred using traditional utility financing methods.

Leasing State Lands for Alternative Energy-Hydrokinetic Electricity Production; Attorney General’s Opinion 09-0148

Attached is Attorney General Opinion 09-0148 which was requested by the Louisiana Department of Natural Resources and answers several questions related to the use of state owned waterbottoms in the production of hydrokinetic energy.   

Attorney General Opinion 09-0148-4-5-2010 Hydrokinetic projects

LPSC Official Bulletin, August 19, 2011

LPSC Official Bulletin August 19, 2011

Attached you will find the most recent Official Bulletin published by the Louisiana Public Service Commission. Interesting matters to note include a proposed Commission Order recommended by the LPSC Staff which addresses procedures for the enforcement of the payment of accurate Inspection and Supervision Fees, audit procedures, a hearing process and the establishment of fines and fees for the failure of Motor Carriers and Public Utilities to properly report and pay Inspection and Supervision Fees to the Louisiana Department of Revenue.

The Bulletin also contains a detailed listing of pending Rate Applications, Requests for Authority, Letters of Non-Opposition, Citations, Adjudications, Rulemakings, Tariff Filings, Rate Authorities, Orders, and Case Schedule.

LPSC EPA Cross State Air Pollution Rule Technical Conference, August 26, 2011

LPSC Cross State Air Pollution Rule Workshop 8-26-11

Attached is the agenda for an upcomig technical conference hosted by the LPSC staff to discuss the EPA’s Cross-State Air Pollution Rule which was announced on July 7, 2011.

This is an extremely important matter for the LPSC, the state of Louisiana, and utility customers, in particular. There is legitimate concern that  implementation of the rule by the EPA as proposed will result in the shuttering of existing power plants unable to obtain compliance standards within the timeline proposed by the EPA. The shuttering of these power plants will likely result in higher rates for utility customers, and may also cause rolling blackouts in Texas and other areas due to insufficient power generation capacity.  The implementation of the EPA rule will require the LPSC and its staff to perform an in-depth analysis and evaluation of the costs that will be incurred by LPSC-jurisdictional utility companies in order to comply with the new rule, and the consequential implications on ratemaking and generation planning. This technical conference is the first step. All stakeholders in the utility industry(utilities, customers, investors, etc.) and interested parties should attend.